RE:RE:RE:How bad can it be?Danny you the chart guy right? Seing any bottom forming yet? I dont want to miss it;-)
As for account receivable, isnt it normal in a three month quarter that 1,9MIL (about a third of your quarter revenu) would be receivable in next quarter and not received already.? My point is: if I bill 7,4MIL, there is a part of that bill that s gonna be paid during next quarter.
When you look at cash flow drain its 2MILin "investing" and 4MIL in "operational. But operational was FULL of one time cost, dont you think?
You noticed in Q1 that from one quarter to another account receivable increase only form 6,5 MIL to 7,3MIL or something like that sorry I checked the number couple of minutes ago.
dannyd9 wrote: Hi traderguy; i think the one huge point you missed is receivables. The company in last quarter said it was attempting to collect on those and the number of unpaid bills was very high. Would not be surprised to see a large writeoff of receivable which will further erode book value and confidence in management. On the positive side, the company said it would start receiving income from its new blood laab in the second half of the year saving significant dollars. The cash burn will be a factor but it will depend on weather the cash was used to open up new facilities or weather it was used to offset business losses. The market is simply saying at this point that it does not know if this type of stratagy is sustainable in its present form and questions the ability of management to make it work. I agree that we should not see anything shocking because if that is the case then management has duped us because only the sellers would have known.